We discuss observations by the Halogen Occultation Experiment on the Upper Atmosphere Research Satellite in the lower stratosphere in the Arctic vortex during winter and spring 1996--1997. Using HF as a chemically conserved tracer, we identify chemical ozone depletion and chlorine activation, despite variations caused by dynamical processes. For the Arctic vortex region, significant chemical ozone loss (up to two thirds around 475 K potential temperature) due to extensive activation of the inorganic chlorine reservoir is deduced, as observed similarly for previous winters. Chemical reductions in column ozone of up to 70--80 Dobson units (DU) in the lower stratosphere are calculated. Both chlorine activation and ozone loss inside the vortex, however, are more variable than observed in previous years. ¿ 1997 American Geophysical Union